Business

Zim scraps unattractive licensing fees

Business Reporter  

The Zimbabwean government is tackling bureaucratic inefficiencies by aligning its licensing framework with global best practices.

 The latest efforts aim to lower business costs, reduce redundant charges, and remove unnecessary fees, positioning the country as a more attractive destination for both local and foreign investment.

Speaking at a Post-Cabinet Media Briefing in Harare on Tuesday, Dr. Jenfan Muswere, the Minister of Information, Publicity and Broadcasting Services, outlined key decisions taken by the Cabinet to revitalize the business climate.

 “Cabinet has approved significant reductions and eliminations of business licence fees to foster private sector growth and reduce barriers to entry,” he said.

A major highlight of these changes is the consolidation of fragmented licensing requirements into a single, streamlined license. Redundant permits are being scrapped, and high fees that have long been a burden on businesses—particularly in the wholesale and retail sectors—are being slashed.

For example, the Liquor license application fee will drop dramatically, from US$1,080 for wholesalers to just US$20 across all sectors, making it far more accessible for smaller players. Similarly, the Medicines Control Authority of Zimbabwe (MCAZ) will eliminate a US$200 fee for the trade of veterinary products, and local bakery license fees, previously set at US$703, will be removed altogether. The government will also cap local authority license fees to ensure uniformity nationwide.

Dr. Muswere indicated that while these changes represent a significant shift, further refinements are expected before the new framework is officially gazetted.

In parallel, Professor Mthuli Ncube, the Minister of Finance and Economic Development, acknowledged that previous high fees imposed by local authorities had discouraged investment.

The reduction of these costs is seen as a necessary step toward stimulating both local and international private sector involvement, key to sustaining Zimbabwe’s economic growth above the six percent mark.

Dr. Anxious Masuka, the Minister of Lands, Agriculture, Fisheries, Water, and Rural Development, highlighted the continued expansion of Zimbabwe’s water infrastructure, with 12 new dams under construction. These efforts, he said, are crucial for boosting the agricultural sector’s capacity to withstand climatic shifts and support food security.

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